Quietly at the end of last year, New York State amended the Vehicle and Traffic Law and Real Property Law to change the legal title classification of manufactured homes. The new law will take effect December 12, 2026 and offers an exciting and significant shift in manufactured home purchase and sale transactions.

Previously, if you owned a manufactured home, it was categorized as personal property. This meant that during a transaction, you would transfer the home to a new owner by signing the back of a DMV title (or, with respect to older homes, via a Bill of Sale). Problems frequently arose when the DMV title was misplaced or improperly transferred from seller to buyer. For instance, at closing, the title might have been signed by the seller and delivered to the buyer, but the buyer may not have known to take the title and re-register it with the DMV in their name. This is especially true where the manufactured home was being transferred with land, as many buyers incorrectly believed they were already treated and transferred as one. This titling process often led to old owners or liens being referenced on a title that should have been cleared up previously, or, worst case, a misplaced title that cannot be duplicated for a future sale.

Starting in December, this process will change. The owner of a manufactured home may now convert the property to real property, not only streamlining transfers, but also allowing more financing options for buyers. The process requires attachment of the manufactured home to a permanent foundation, connection to utilities, and the recording of an affidavit of affixation permanently converting the property to real property. After this is completed, the DMV will “retire” and no longer issue a title for the manufactured home. In other words, much like the purchase of a “site built” home, the land and house are one and will be transferred by deed.

This change enables buyers, who may have otherwise been excluded from purchasing a manufactured home due to financing limitations, to purchase these properties, thereby building equity in the asset. Additionally, from an estate planning perspective, it enables older generations to pass title to these types of homes more easily. And, last but not least, because the records will be consolidated at the County Clerk, it helps attorneys review title more easily to ensure what you think you’re buying is exactly what you get!

If you have questions about this change in the law, please contact us. We’d be happy to assist.